Mr. X called, he was concerned that he had not completed his taxes for his small trucking company. 

He had  a sudden burst in growth and was doing 2 to 3 times more business in the last half of the year.  He was actually having serious cash flow problems because of unplanned growth!

We talked about the situation,  I could feel that he wanted his taxes done, but the cash flow issue was more important. 

I didn’t say anything, but I was concerned about his payment for the Tax Accounting services. (All of his tax records were in a shoe box)  I knew he was having cash flow problems and the additional debt did not help matters.

Then he told me about the $30,000 worth of Invoices. Because the invoices had not been paid they were not included in his income for that year so I had no idea that he had invoices in that amount. In fact the invoices where crumbled up and scattered over his desk.

I went on the Internet and  googled  “invoices”   I had never really understood Factoring before that time, but I had heard of it.

As it turned out, we did not  have to Factor my client’s Invoices because he called the company he was working with and explained the situation.  They paid him 50% of the Invoice immediately and the balance shortly after.

Since I had already researched “Factoring” (Accounts Receivable Financing) gone to a seminar on the subject and developed a couple of high end contacts, I  put an ad online and within days a CPA called.

He had a client who imported culinary products from overseas. They wanted to factor a fairly large amount.  I called my contact at the Factoring Finance Company and explained the situation.

The Factoring Company arranged for his company to do a Purchase Order from his supplier overseas. Once the Purchase Order was in place, we factored the Invoice.

The client received over 90% of the Invoice amount within days.

He has since, repeated the deal 3 or 4 more times!

(Purchase Order Funding is slightly harder to get then Accounts Receivable Financing, however, Purchase Order Funding is very helpful for Business who makes large purchases and resells to a third party. For more information on Purchase Order Funding and the advantages of Factoring go to http://www.taxeswilltravel.com/international.htm )

If you are having cash flow issues, working capital or growth concerns; complete the short confidential, 5 question pre-app -- click here  and remember,  your credit is not an issue!

Cassandra Ingraham is a Tax Accountant in the state of California. Her Tax Business specializes in locating Invoice, Lines of Credit  for Small to Medium Size Business (up to $10 Million, government or corporate Invoices) you can go to http://www.taxeswilltravel.com  for more information.